Dalmia Bharat has announced plans to raise up to ₹4,000 crore through various instruments to support its ambitious expansion strategy. According to the company's latest annual report, the fundraising will involve public or private offerings, including qualified institutional placements (QIPs), with the proposal approved by the Board on May 23, 2026. The proposed fundraising may involve issuance of equity shares, global depository receipts (GDRs), American depository receipts (ADRs), foreign currency convertible bonds (FCCBs), convertible debentures, preference shares and other eligible securities. The proceeds will be utilised towards capital expenditure, prepayment and/or repayment of debts of the company and its subsidiaries, working capital requirements, investments in subsidiaries and general corporate purposes.
The country's fourth-largest cement maker plans to scale its cement manufacturing capacity from around 49.5 million tonnes per annum (MTPA) to 75 MTPA in the medium term, as reported in the company's annual report. The company targets expanding its manufacturing capacity to 110-130 MTPA by FY31 through a mix of acquisitions, greenfield and brownfield projects. This expansion will see the company's total capacity grow from current levels to over 100 MTPA, positioning it among the major players in India's cement industry. As part of its Phase II expansion plan, the company announced strategic investments of over ₹6,800 crore to enhance its cement capacity by 12 MTPA, through capacity additions at Belgaum, Pune and Kadapa. The company expects its capacity to rise to 66.7 MTPA in FY28. As per the company, this calibrated capacity expansion to 110-130 MTPA by 2031 is strategically aligned with the demand growth outlook and aims to create long-term volume-growth opportunities across regions.
Dalmia Bharat remains optimistic about the cement industry's growth prospects and expects cement demand to expand at a compound annual growth rate (CAGR) of 6-7 per cent over the next few years, driven by government-led infrastructure spending, private-sector investments, and rising housing demand amid increasing urbanisation. The company is aligning its growth strategy with India's long-term development ambitions and aims to emerge as a pan-India cement player, focusing on expanding into geographies where it currently has limited or no presence while simultaneously undertaking strategic capacity additions in existing markets to address demand gaps and increase market share. The company anticipates growth opportunities in its existing operations and continues to evaluate various avenues for organic expansion and inorganic growth, as it requires capital for achieving such growth and expansion. The cement maker is witnessing a shift towards blended and premium cement products, supported by increased utilisation of Portland Slag Cement (PSC) and advanced formulations, as it seeks to cater to evolving customer requirements and drive value-led growth.
The company recently signed an agreement to acquire cement assets of Jaiprakash Associates, including plants in Madhya Pradesh and Uttar Pradesh, for an enterprise value of ₹2,850 crore, as announced by Managing Directors Puneet Yadu Dalmia and Gautam Dalmia. According to the company, this acquisition will provide faster access to central markets compared to a greenfield project and further offers expansion opportunity through debottlenecking, as well as a brownfield approach. The company is also developing a bulk terminal near Chennai to strengthen its presence in North Tamil Nadu. Addressing shareholders, the Dalmias stated that this acquisition will provide faster access to central markets compared to a greenfield project and further offers expansion opportunity through debottlenecking, as well as a brownfield approach.
The company reported its highest-ever annual EBITDA of ₹3,083 crore in FY26, with revenue rising 6 per cent to ₹14,804 crore and profit after tax jumping 65 per cent to ₹1,157 crore. As reported by Business Standard, the company expects its capacity to rise to 66.7 MTPA in FY28. Currently, there are only two major cement players in India with a manufacturing capacity of over 100 MTPA, with UltraTech Cement leading at 205.5 MTPA and Ambuja Cements at 109 MTPA. The company is witnessing a shift towards blended and premium cement products, supported by increased utilisation of Portland Slag Cement (PSC) and advanced formulations, as it seeks to cater to evolving customer requirements and drive value-led growth. The company is also focusing on the premiumisation of its cement portfolio through innovation-led products, with its product strategy centred on specialised Roof, Column and Foundation (RCF) solutions designed to enhance structural performance in construction applications.
